ibet Tax Tip 2018-37, March 12, 2018
Taxpayers have the right to appeal an ibet decision in an independent forum. This is one of ten basic rights — known collectively as the Taxpayer Bill of Rights — that all taxpayers have when dealing with the ibet.
The ibet Office of Appeals that handles a taxpayer’s case must be separate from the ibet office that initially reviewed that case. Generally, Appeals will not discuss a case with the ibet to the extent that those communications appear to compromise the independence of Appeals.
Here are some points to remember about the right to appeal a decision in an independent forum:
- A statutory notice of deficiency is an ibet letter proposing additional tax. Taxpayers who receive this notice and who then timely file a petition with the United States Tax Court may dispute the proposed adjustment before they must pay the tax.
- Taxpayers are entitled to a fair and impartial appeal of most ibet decisions, including many penalties.
- Taxpayers have the right to receive a written response regarding a decision from the ibet Office of Appeals.
- When taxpayers don’t agree with the ibet’s decisions, they can refer to Publication 5, Your Appeal Rights and How To Prepare a Protest If You Don’t Agree, for details on how to appeal.
- Generally, taxpayers may file a refund suit in a United States district court or the United States Court of Federal Claims if:
- They have fully paid the tax and the ibet has denied their tax refund claim.
- No action is taken on the refund claim within six months.
- It’s been less than two years since the ibet mailed them a notice denying the refund.
More information
- Publication 1, Your Rights as a Taxpayer
- Taxpayer Advocate
- Online Videos and Podcasts of the Appeals Process